Bill Text: NJ S244 | 2024-2025 | Regular Session | Introduced
Bill Title: Directs BPU to conduct study to determine feasibility of use of large-scale geothermal heat pump systems in State.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced) 2024-01-09 - Introduced in the Senate, Referred to Senate Environment and Energy Committee [S244 Detail]
Download: New_Jersey-2024-S244-Introduced.html
STATE OF NEW JERSEY
221st LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION
Sponsored by:
Senator BOB SMITH
District 17 (Middlesex and Somerset)
SYNOPSIS
Directs BPU to conduct study to determine feasibility of use of large-scale geothermal heat pump systems in State.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act directing the Board of Public Utilities to conduct a study on the feasibility of implementing large-scale geothermal heat pump systems in the State.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. a. As used in this section:
"Geothermal energy" means energy derived from the earth, its surface, or natural geological features such as volcanos, fumaroles, hot springs, and geysers.
"Geothermal heat pump system" means infrastructure that employs geothermal heat pumps and ground heat exchangers to use the constant temperatures in the ground or water near the surface of the earth to heat and cool buildings.
"Geothermal heat pump" means a ground-source heat pump.
"Ground heat exchanger" means a network of underground pipes, water wells, or other infrastructure used in a geothermal heat pump system to draw heat from the ground into a building for heating the building during cooler months and draw heat from a building into the ground for cooling the building during warmer months.
"Ground-source heat pump" means a pump used to transfer heat to and from the ground or surface water and is a term commonly used for a geothermal heat pump that is part of a geothermal heat pump system.
b. The Board of Public Utilities shall conduct a study on the feasibility and benefits of implementing large-scale geothermal heat pump systems in the State.
c. In conducting the study, the board shall:
(1) assess the challenges and obstacles for the installation of large-scale geothermal heat pump systems in the State;
(2) consult with the United States Department of Energy concerning the department's assessment of the possibility of the large-scale use of geothermal energy in the State and whether the State's temperature resources can be tapped for ground-source heat pumps;
(3) consult with other states, including, but not limited to, Massachusetts and New York, concerning studies and pilot programs implemented or conducted in those states, and assess how other states' experiences may be used to inform effective program implementation in New Jersey;
(4) consult with geothermal experts and public and private entities with experience in the installation of geothermal heat pump systems on any scale and obtain information to evaluate the potential use and implementation of large-scale geothermal heat pump systems in the State;
(5) consult with public utilities in the State and other states concerning feasibility, costs, and benefits of the use of geothermal energy and geothermal heat pump systems;
(6) consider the feasibility and desirability of establishing a financial incentive system, or of using other available means and methods, such as public-private partnerships, financial investments, or university involvement, to encourage and incentivize the development and successful deployment of geothermal energy and geothermal heat pump systems;
(7) evaluate the costs and savings to ratepayers, government entities, electric public utilities, and the State associated with the implementation of the findings and recommendations of the written report submitted pursuant to subsection d. of this section, including the use of financial incentives or other means to encourage replacement of current heating and cooling systems, and incorporate into the written report any analysis or assessment thereof; and
(8) provide a recommendation on the feasibility of, need for, and design of, a pilot program in the State for the installation of geothermal heat pump systems.
d. Within one year after the effective date of this act, the board shall prepare and submit a written report to the Governor and, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), to the Legislature summarizing the findings from the study, and providing recommendations for the feasibility, need for, and design of a pilot program, and for legislative, executive, and other actions.
2. This act shall take effect immediately.
STATEMENT
This bill directs the Board of Public Utilities (BPU) to conduct a study of the feasibility and benefits of implementing large-scale geothermal heat pump systems (GHPs), as these systems are defined in the bill. The bill requires the BPU, in conducting the study, to assess the challenges and obstacles for the installation of large-scale GHPs in the State, and to consult with the United States Department of Energy, other states, geothermal experts and public and private entities with experience installing GHPs, and public utilities concerning the feasibility, costs, and benefits of the use of geothermal energy and GHPs.
The bill requires the BPU to consider the feasibility and desirability of establishing a financial incentive system, or the use of other available means and methods, to encourage and incentivize the development and successful deployment of geothermal energy and geothermal heat pump systems. The bill also requires the BPU to evaluate the costs and savings to ratepayers, government entities, electric public utilities, and the State associated with the implementation of the study findings and recommendations, and provide a recommendation on the feasibility of, need for, and design of, a pilot program in the State for the installation of GHPs.
Finally, the bill requires the BPU, within one year after the bill is enacted into law, to prepare and submit a written report to the Governor and the Legislature summarizing the findings from the study, and providing recommendations for the feasibility, need for, and design of a pilot program, and for legislative, executive, and other actions.
